Tips for Managing Credit & Risk Trading​

Do you know the exact amount of cash your business needs to operate smoothly? This figure, your Working Capital Requirement (WCR), is one of the most critical metrics for financial health. A high WCR means your cash is tied up in the operating cycle, leaving less flexibility to seize opportunities, invest in growth, or weather unexpected challenges.   Understanding how to assess, manage, and optimize your WCR is fundamental to building a resilient and successful business. This guide examines how to calculate your WCR and, crucially, the strategies you can implement to improve it.

In business, your success is intrinsically linked to that of your customers. Protecting your company against the risk of a customer becoming insolvent is therefore crucial for your financial well-being and future growth. When a client can no longer meet their payment obligations, it triggers a chain reaction that puts your cash flow, profitability, and stability at risk.   A reactive approach is not enough. A comprehensive insolvency protection strategy involves proactive prevention, early detection, and a robust safety net. This guide will walk you through a multi-layered framework to safeguard your business from the financial impact of customer insolvency.

Discover how embedding sustainability into global trade strategies can enhance financial resilience and brand reputation. Learn how Allianz Trade empowers businesses to navigate transition and physical risks, supporting a sustainable future in global trade.

In 2025, businesses face a challenging global landscape marked by significant economic and geopolitical risks. Ongoing tensions between major economies, trade disputes, and sanctions contribute to volatility, while inflation and currency fluctuations, climate-related risks, and cyber-security threats add to an uncertain environment.   Trade credit insurance is an important tool for all businesses, but especially for Mid-Size Multinational companies navigating these challenging global trade conditions.

With the B2B e-commerce market growing at pace, buyers are becoming more discerning. Offering flexible payment terms gives your business a competitive edge in the race to convert sales and win over more customers.   B2B buyer behavior is shifting. As more countries embrace digitalization and internet usage increases, more businesses around the world are turning towards online platforms for trade – driving e-commerce activities globally. The Asia-Pacific region, for instance, now holds a 78% share of the global B2B e-commerce market, according to Forbytes, due in part to the digital boom in countries like China and India.   Increasing mobile device usage is another reason why more business buyers are turning to e-commerce. Roughly 80% of B2B buyers now use their smartphones to research and make purchases, while 77% use some form of digital platform.   These behavioral shifts have come with changing expectations. Today, B2B buyers emphasize factors like faster payments, transparent transactions, and flexible terms when making purchases online – much like their B2C counterparts. Last year, data published by eCommerceNews showed that the vast majority – 82% – of B2B buyers consider access to flexible terms an important factor when choosing a B2B supplier.

As businesses look to 2026, the landscape of international trade is shifting dramatically. Our roadmap provides actionable steps to help companies expand globally in the next 12 months.   The outlook for international trade is evolving at pace. In the US, the Trump administration announced on 2 April 2025 so-called “reciprocal tariffs” – hiking tariffs on US imports and thus introducing sweeping new trade restrictions for industries and key trading partners worldwide. Dubbed “Liberation Day”, 2 April marked a historic upheaval of US trade policy – further reigniting the US-China trade dispute, disrupting supply chains, and injecting fresh volatility into international markets. There has been some respite in recent months as the US has rowed back and agreed deals with various countries, including China, but the tariff landscape remains volatile.   The latest Allianz Trade Global Survey 2025 has gathered insights from around 4,500 companies across nine major economies, assessing the toll of “Liberation Day” on the outlook for international trade. The findings are stark, with confidence amongst exporters taking a huge hit. The survey’s top-line findings show that less than half of businesses expect positive export growth in the next 12 months, compared with 80% before “Liberation Day”.   However, amid this turbulence there are opportunities. While the US is rewriting the playbook for international trade, new opportunities are emerging, and proactive businesses are adjusting their strategies. For companies aiming to address these challenges and effectively navigate current uncertainties, we have developed a strategic roadmap. Highlighting key trends, risks, and areas to watch, we provide actionable steps to expand globally with resilience and preparedness in the year ahead.

The Working Capital Ratio is one of your most vital indicators of business liquidity and short-term financial health. It signals whether you have the flexibility to seize new opportunities or if you need to focus on conserving cash. Understanding your company's working capital position is essential for identifying potential shortfalls, managing costs, and making informed decisions about expansion.    This article explains the working capital ratio, what constitutes a 'good' ratio, and how B2B businesses can improve it – often by strategically managing key components like Accounts Receivable (A/R) and leveraging tools like Trade Credit Insurance (TCI). 

Late payments are a persistent challenge in the B2B world. When customers don't pay on time, it's not just an administrative hassle; it can put your business into real difficulty. Research shows a significant percentage of invoices are paid after their due date, leading to cash flow problems that can, in severe cases, threaten solvency. For many businesses, effectively managing past due invoices is key to survival and growth.   This guide explores what "past due" means in a B2B context, its impact, and, most importantly, proactive strategies – including Trade Credit Insurance (TCI) – to handle and prevent overdue payments.

Credit has always been the lifeblood of business-to-business (B2B) commerce. Whether known as purchase financing, deferred payment, or net terms, it keeps global trade flowing, fostering trust and recurring orders.   But the transition to e-commerce has only just begun in recent years. And the results are evident on business websites everywhere: countless baskets abandoned when B2B customers find their only checkout option is upfront payment.   That situation is now about to change, though.   Inspired by consumer e-commerce, paying on credit terms is being adapted for online sales as B2B Buy Now, Pay Later (BNPL). With B2B BNPL, companies can confidently offer purchase financing thanks to the seamless integration of four critical components: B2B e-checkout solutions, real-time credit assessment, financial services backing, and e-commerce credit insurance.   The new model opens opportunities for e-merchants to cater to their customers’ payment needs while safeguarding cash flow from non-payment. As B2B BNPL gains momentum, it also promises to reshape the competitive landscape for business e-commerce.